A court has hit pause on the sale of Beatles tunes from the Web site BlueBeat.
Judge John Walter of the U.S. District Court for the Central District of California late this week issued a temporary restraining order against BlueBeat after being petitioned Tuesday by the Capitol Records unit of music label EMI, which owns the Beatles' recordings.
The judge found BlueBeat's arguments "lacking in clarity" and wrote that the defendants failed to offer reliable evidence to support "their claim that they 'independently developed their own original sounds'."
As Matt Rosoff wrote this week for CNET, BlueBeat's claims have a good likelihood of being laughed out of court. The company's defense includes the assertion that it didn't post the exact Beatles recordings, but rather "psychoacoustic simulations" to which it added some video content, thus creating a new audiovisual work.
BlueBeat was offering Beatles songs and albums for purchase or download for 25 cents per track, in addition to offering free streaming.
"Given that the Beatles catalog, including the remastered Beatles recordings, has never been released by Plaintiffs for digital download or licensed for on-demand streaming, every day that Defendants offer the Beatles catalog for digital download or licensed for on-demand streaming irreparably harms Plaintiffs' exclusive right to control the use of its copyright materials," the judge wrote in his order.
EMI was not available for comment, nor was BlueBeat, whose Web site has been offline throughout the day Saturday. Offline as well were BlueBeat owner Media Rights Technologies and an affiliated company called BaseBeat, both of which also are listed as defendants, along with MRT founder Hank Risan.
Besides Capitol Records, the plaintiffs include Caroline Records, EMI Christian Music Group, and Virgin Records America.
The court set a hearing for November 20.
Record label EMI this week announced that it will begin selling on-the-spot recordings of concerts.
The name of the initiative, Abbey Road Live, is a bit misleading--it doesn't have anything to do with the Beatles album or the recording studio after which it was named.
Rather, EMI is using its Abbey Road brand to indicate that these aren't low-quality bootlegs but professional multitrack recordings, mixed and mastered on the spot, and sold on CDs, DVDs, or flash drives to fans at the venue. EMI also said on Wednesday that it plans to make the recordings available as streams or downloads, so fans can access them from home.
Instant concert recording isn't new: EMI sub-label Mute Records has had a similar program in place since 2004--according to the press release, 10 percent of fans at a recent Blur concert downloaded the show afterward--and Willie Nelson has been selling flash drives with on-the-spot concert recordings for several years.
But having a large record label like EMI on board legitimizes the practice. It's a no-brainer way for live acts to earn some extra cash--and great for fans as well. I can think of many concerts I've attended, after which I would gladly have paid another $20 for a recording. This should become standard operating practice in the next couple of years.
Bert and Ernie shared space on Google's home page on Friday with an ad for Motorola's Droid, the Verizon Wireless smartphone that went on sale on Friday.
(Credit: Screenshot by Ina Fried/CNET News)As the newsroom's biggest Sesame Street fan, I'd be remiss if I didn't highlight the tribute Google paid to the PBS show this week, on the occasion of its 40th anniversary.
On Wednesday, Big Bird's feet and lower body graced the home page, while Thursday saw Cookie Monster nibbling on the Google logo. On Friday, Bert and Ernie served as the O's in Google.
But Bert and Ernie had to share the home page on Friday, as Google also used a front-page link to tout the new Motorola Droid smartphone that went on sale at Verizon Wireless stores.
Although such promotional pitches aren't the norm for its homepage, Google has used them in the past to tout the Chrome browser as well as the first Android phone, T-Mobile's G1.
Big Bird's feet served as the "L" in the Google logo on Wednesday, as the search giant kicked off its tribute to Sesame Street.
(Credit: Google)As for the Sesame Street "doodles," Google Vice President Marissa Mayer noted that "many Googlers grew up on Sesame Street."
"We're delighted to have partnered with Sesame Street to create this special series of doodles, particularly since we share the same values of education, diversity, and accessibility," Mayer said in a blog posting.
Lest anyone doubt my devotion to the show, here's a video interview I did with Elmo Live, when that toy came out last year.
Jimmy Wales gives a keynote address at the 2009 Symbian Exchange and Exposition.
(Credit: Natasha Lomas/Silicon.com)If you've ever written something about Jimmy Wales and posted it online, chances are he's read it. He mentions a Twitter post I made, prior to our interview, asking whether people think he's a hero or villain.
With my tweet I'd been hoping to get a feel for opinion on the Wikipedia, Wikimedia and Wikia founder. Which is he then, I ask? Hero or villain?
"Oh I would say both," he replies with a smile. "Depends on who you are."
Read more of "Jimmy Wales on what's next for Wikipedia" at Silicon.com.
Online auction giant eBay announced Friday that its sale of a controlling interest in its Skype unit will proceed, following the settlement of litigation over the proposed transaction.
The settlement restructures the deal with an investor group led by Silver Lake and puts an end to a dispute with software maker Joltid over the licensing of software that underlies Skype's Internet telephony service.
In addition, the settlement brings Skype and Joltid founders Niklas Zennström and Janus Friis, into the investor group. The duo will take a 14 percent stake in Skype in exchange for contributing Joltid software and a "significant capital investment."
Silver Lake and other investors will now hold 56 percent of Skype, and eBay will retain 30 percent. Those other investors include the venture capital firm Andreessen Horowitz--started by Marc Andreessen, the man behind the early Web browser Netscape--and the Canada Pension Plan Investment Board.
Venture capital firm Index Ventures, which had been embroiled in the legal action, has withdrawn from participation in the investor group.
As in the initial agreement, eBay will receive approximately $1.9 billion in cash when the sale is completed, along with a note from the buyer in the principal amount of $125 million.
The deal, which eBay says puts Skype's value at $2.75 billion, is expected to close during the current quarter.
Under the settlement agreement, which involves the Silver Lake investor group, Joltid, and online video company Joost, Skype will have ownership over all software previously licensed from Joltid. All related litigation now pending against the investor group and eBay will cease at the closing of the acquisition.
Zennström and Friis had sold Skype to eBay for $2.6 billion in 2006, but they had also retained the rights to Skype's peer-to-peer technology via Joltid, a separate company that they had also founded. In its lawsuit filed in September of this year, Joltid raised charges of copyright infringement, alleging that Skype had acquired unauthorized versions of the source code, made unauthorized modifications, and disclosed the software to third persons.
Also in September, Joost--yet another company started by Zennström and Friis--filed a lawsuit against former Joost CEO Mike Volpi, who two months earlier had become partner at Index Ventures, which also was named in the lawsuit. Joost claimed that Volpi, who had done a stint on Skype's board of directors, had used confidential information as part of Index Ventures' participation in the Silver Lake-led effort to buy a majority share in Skype.
In the third quarter, Skype contributed $185 million in revenue to eBay, up nearly 30 percent from the year-earlier period. It has more than 520 million registered users.
Update at 8:10 a.m. PST: More details of the settlement have been added.
Although several artists have been depicted in music games like Guitar Hero in the past, Gwen Stefani's No Doubt is having some trouble with its own likeness in the newly released Band Hero game from Activision.
According to a court filing obtained by the Los Angeles Times, the band sued Activision over a feature in the title that provides gamers with the opportunity to have band members perform another artist's songs.
The lawsuit specifically takes issue with the ability for gamers to have No Doubt lead singer Gwen Stefani perform the Rolling Stones' Honky Tonk Women. The suit claims that it "results in an unauthorized performance by the Gwen Stefani avatar in a male voice boasting about having sex with prostitutes," the LA Times is reporting, citing documents filed in the Los Angeles Superior Court on Wednesday. The suit also claims that No Doubt objected to the "Character Manipulation Feature," but Activision refused to remove it.
For its part, Activision says that it's not at fault. The company wrote in a statement cited in several publications, that it has a "written agreement" with No Doubt that justifies the use of its likeness in various features in the game.
"Activision has a written agreement to use No Doubt in Band Hero--an agreement signed by No Doubt after extensive negotiations with its representatives, who collectively have decades of experience in the entertainment industry," the company said in a statement. "Pursuant to that agreement, Activision worked with No Doubt and the band's management in developing Band Hero. As a result, Activision believes it is within its legal rights with respect to the use and portrayal of the band members in the game and that this lawsuit is without merit.
"Activision is exploring its own legal options with respect to No Doubt's obligations under the agreement."
No Doubt is asking for unspecified damages, as well as "a preliminary injunction and a permanent injunction against distribution of the game and for Activision to recall existing copies," the Times is reporting.
Don Reisinger is a technology columnist who has written about everything from HDTVs to computers to Flowbee Haircut Systems. Don is a member of the CNET Blog Network, and posts at The Digital Home. He is not an employee of CNET. Disclosure.
Last week, a music site called BlueBeat made headlines by offering Beatles songs as free streams and 25 cent downloads. The Beatles are known for not making their songs legally available on iTunes or any other online forum, so observers rightly asked "how are they doing this legally?"
EMI, the record label that owns The Beatles' recordings, has a simple response: they're not doing this legally. But here's where the story gets very strange.
The legal reasoning in this case is straight out of "Alice in Wonderland."
(Credit: Wikimedia Commons (public domain illustration))BlueBeat is owned by a company called Media Rights Technologies, which specializes in digital rights management technology. DRM is supposed to be used to prevent copyright infringement. But according to a 2007 blog post on HuffingtonPost.com by the company's founder, Hank Risan, MRT backed into this business after being--get this--targeted by the RIAA for copyright infringement.
As Risan explains in his post, he and a partner had posted a bunch of streaming-audio files to a Web site about the history of music. The RIAA issued a takedown notice, and the site took the streams down.
The streams had been protected by Windows Media DRM, but according to Risan, an update to the Media Player broke the DRM. In response to this flaw, Risan created MRT and built his own DRM system, which he claimed would be far more robust than the systems on the market at that time. Then, in 2007, MRT sent cease-and-desist letters to Microsoft, Apple, Adobe, and RealNetworks, ordering them to use MRT's DRM technology instead of their own, on threat of legal action.
The legal reasoning was twisted--basically, MRT argued that the Digital Millennium Copyright Act should force these companies to use the most robust DRM technology available, even if that technology was created by somebody else. Predictably, nothing ever came of this demand.
MRT's legal reasoning is equally funny this time around, as Ars Technica reports. According to the report, MRT claims that it didn't post the exact Beatles recordings. Instead, it posted "psychoacoustic simulations," then added simple video content to them. This constitutes a new audiovisual work, and isn't covered by the existing copyrights, MRT argues. In fact, MRT even went so far as to apply for copyrights on the "new" works!
Perhaps this is all some kind of metacommentary on the frustrating inconsistency of U.S. copyright law, but I predict that MRT is going to be laughed out of court. In the meantime, if you want your Beatles music online, it's still available on BlueBeat as of the time I posted this. I didn't want to give the company a credit card to test the whether the downloads work, but the streams sound pretty close to perfect...especially considering that they're only psychoacoustic simulations.
Yahoo's Flickr site has deepened its relationship with photo-licensing power Getty Images so photographers can nominate their own photos for inclusion in Getty's Flickr Collection.
Previously, Getty decided which images it believed were commercially viable, and since the program launched in July 2008, it has put together a collection of more than 60,000 commercial images. Now photographers, instead of just being able to indicate that they're willing to be contacted by Getty, can actively submit a portfolio of images.
"A submission should include exactly 10 images that represent what you consider to be the best of your work. The Getty Images creative team will evaluate submissions based on style, subject matter, and technical skill," Andy Saunders, Getty's vice president of creative imagery, said in a statement. "If some or all of the photos--or other images from your photostream--are selected for the Flickr Collection on Getty Images, you will receive an invitation via FlickrMail. This invitation will clearly show Getty Images' initial selection of images and introduce the enrollment process."
The partnership is an interesting confluence between the old-school world of stock photography and the nouveau era of digital photography and the Internet. With digital SLRs and the Internet, high-quality photos are easier to come by, leading to the arrival of several "microstock" companies that sell photos on a royalty-free and relatively inexpensive basis. It's hurt professional stock photographers, but it's provided extra income to any number of enthusiasts and amateurs.
Flickr never launched its own microstock site, despite an abundance of enthusiasts contributing photos, but the Getty partnership does mix a commercial ingredient into the Yahoo photo-sharing site's operations.
The easy availability of photos at Flickr and other sites can lead to copyright infringement troubles. On Tuesday, Toyota USA apologized for using Flickr photos without permission:
Toyota apologizes for pulling images from Flickr without photographer permission. Images from a handful of photographers appeared on a Toyota site for five days. We're working quickly to reach out to the individual photographers involved. Until then, the images have been removed, and corrections have been made to the process of pulling images from Flickr.
So it's clear that some Flickr photos have business value, whether for their professional quality or their everyman snapshot flavor.
Getty and Flickr won't disclose any details about their business relationship, but here's what Flickr has to say about how the finances work for photographers:
Flickr has a business relationship with Getty Images, though we've never publicly discussed the specifics of the deal. Regarding the photographers, Getty Images will be the exclusive distributor of select Flickr members' content, and in turn, Getty Images will facilitate the license of such photography and will pay the royalties directly to the members. This will be a direct relationship between Getty Images and each Flickr contributor.
Flickr photographers will be asked to sign a Getty Images contributor contract, if they agree to have their images licensed for commercial use, that will specify rates for rights-managed and royalty-free royalties, as applicable. Rates for royalty-free imagery are 20 percent; rates for rights-managed (images) are 30 percent. These are directly in line with royalty rates that (Getty's) existing contributors receive.
Although technology and the Internet have taken a beating in the past for potentially limiting people's social interaction, a new study from the Pew Research Center has found that the opposite might be true.
According to a Pew Internet Personal Networks and Community survey, which polled 2,512 adults, the dawn of new technology and the Internet has not caused people to withdraw from society. In fact, the study found that "the extent of social isolation has hardly changed since 1985, contrary to concerns that the prevalence of severe isolation has tripled since then." Pew said that 6 percent of the entire U.S. adult population currently has "no one with whom they can discuss important matters or who they consider to be 'especially significant' in their life."
That said, Pew did find that Americans' "discussion networks"--a measure of people's "most important social ties"--have shrunk "by about a third since 1985" from three people to two. However, Pew found no evidence to suggest that it had anything to do with mobile phones or the Internet. In fact, the organization's study found that mobile-phone use and active Web participation yields "larger and more diverse core discussion networks."
Social media is also helping people expand their social interaction. According to Pew, those who use the Internet frequently "are much more likely to confide in someone who is of another race." Users who share photos online are more likely to discuss political topics with someone of a different party, the organization found.
Do you know your neighbor?
Frequent Web users are more likely to communicate with neighbors in person than those who don't use the Web as often, Pew found. In fact, 61 percent of respondents said that they talk to a neighbor at least once per month. The study also found that bloggers are 72 percent "more likely to belong to a local voluntary association" than those who don't blog.
Perhaps most important, Pew found that just because someone is a heavy Web user, that doesn't mean they remove themselves from traditional social activities like visiting a restaurant or hanging out at a bar on a Friday night. According to the study, Web users are "45 percent more likely to visit a cafe, 52 percent more likely to visit a library, 34 percent more likely to visit a fast-food restaurant, 69 percent more likely to visit other restaurants, and 42 percent more likely to visit a public park." Later on, the study reported that social-networking users "are 40 percent more likely to visit a bar, but 36 percent less likely to visit a religious institution."
So, next time your grandmother tells you that the Web is ruining the world, you might want to tell her to check out Pew's study. For more on these figures and many more, click here.
Google introduced a new Commerce Search tool for retailers on Wednesday to try to make the online shopping experience easier for consumers as the holidays approach.
According to Google, Web users spend an "average of just eight seconds" on a retail site before deciding whether to stay. With that in mind, Commerce Search aims to improve search on retailers' individual sites.
With Commerce Search, shoppers can sort data by "category, price, brand, or any other attribute," Google said. Retailers can also offer special attention for specific products to draw consumer attention. The tool includes built-in spell-check and synonyms to help ensure people find the items they're looking for, regardless of how they spell or identify products.
Commerce Search will be hosted in the cloud. The cost to retailers is based on the number of products and the searches conducted annually.
Don Reisinger is a technology columnist who has written about everything from HDTVs to computers to Flowbee Haircut Systems. Don is a member of the CNET Blog Network, and posts at The Digital Home. He is not an employee of CNET. Disclosure.



